Originally called the "Northeast Quarter", Hubbardston was part of Rutland until it became a town in 1767. It was named for Thomas Hubbard, one of the original proprietors. The first European settlers were recorded in 1737. The community has been described by historians as a poor town in its early years, sparsely settled and almost solely agricultural. By the 18th century, there were sawmills, potash works and cottage industries, including the making of palm leaf hats, chairs, cabinets, shoes, and horse blankets.

By the 19th century, dairy and berry farming and market gardening were major enterprises. Immigrants from Ireland, French Canada, England, Sweden and Finland moved to town to work on local farms. The town's early economy was based on agriculture and small-scale chair, boot and shoe manufacturing. Dairy and berry farming and market gardening were major pursuits in the town